Life of India Vs. Tata AIA Life Insurance

Life of India Vs. Tata AIA Life Insurance

No matter what the current financial situation and income level of an individual is, it is impossible to foresee what the future holds. Any unpredictable event, such as untimely demise, loss of job, disability, and more, in the future can leave family members without any sufficient financial support. 

A life insurance policy, in such cases, serves to bridge this financial void by providing a consistent stream of income for meeting the financial expenses of dependents, such as paying off the loan, completing education, and maintaining a decent standard of living. 

If you have overlooked the significance of life insurance, it is advisable to purchase a comprehensive life cover, such as LIC or Tata AIA Life Insurance, to safeguard your family’s financial future. To know which one is better for you, stay tuned to the post!

Know The Major Differences Between Life Insurance Corporation Of India & Tata AIA Life Insurance

ParametersLife Insurance CorporationTata AIA Life Insurance
Claim Settlement Ratio (FY 2021-22)
  • Individual Death Claims: 94.65%
  • Group Death Claims: 99.18%
  • Individual Death Claims: 96.02%
  • Group Death Claims: 98.47%
Express Claim SettlementWithin 4 HoursNot Available
Number Of Plans25+30+
Discounts For WomenSpecial Rates For WomenAvailable With Term, Savings, ULIP, & Retirement Plans

Virtual Assistant: LIC Mitra

Mobile App:

  • LIC Digital
  • LIC Agent App
  • LIC Pragati App
  • LIC Associate App
  • Ananda App
  • LIC Pratidhi App
  • Jeevan Saakshya

Virtual Assistant: Tasha

Mobile App: Tata AIA Life Insurance

Tax BenefitsCovered
Online Premium CalculatorAvailable
Rider OptionsAvailable
Death ClaimsCovered
Maturity ClaimsCovered By Some Plans
WhatsApp Support89768620907045669966
Prominent E-Services
  • Online Purchase
  • Policy Status
  • Insurance Selector
  • Online Loan
  • Office Locator
  • Online Premium Payment
  • Download Statements
  • Complaint Registration
  • Talk To An Expert
  • Raise Service Request

Note: The CSRs (Claim Settlement Ratios) have been taken from the latest IRDAI reports.

About Life Insurance Corporation Of India

The Life Insurance policies from LIC offer comprehensive protection and financial security to the policyholders as well as their family members. In case of a policyholder’s unfortunate death, policies of Life Insurance Corporation pay out the death benefit to the nominee or beneficiary for financial protection. Moreover, in case the policyholders survive the policy term, they are provided with maturity benefits that are beneficial for the future needs of policyholders. 

The insurance provider has a wide range of options in life insurance policies, including whole life insurance, term insurance, money-back plans, endowment plans, unit-linked plans, health plans, micro insurance plans, and more. Each of these policies comes with different benefits and coverage options so that it can suit the specific requirements of life insurance-seekers.

About Tata AIA Life Insurance

The Life Insurance policies by Tata AIA Life offer comprehensive protection and cater to diverse financial goals and risk appetites. The insurance provider specializes in multiple life insurance segments. These include protection plans, wealth plans, child plans, savings plans, group plans, and more. 

This broad range of offerings ensures that customers can find suitable coverage tailored to their specific requirements. The company also has a strong network of branches (400+) and customer service centers across India, ensuring prompt and efficient assistance to policyholders.

Reasons To Purchase Policy From LIC Of India

One should go for Life Insurance Corporation because of the following reasons:

Diverse Life Insurance Options:

LIC offers an extensive selection of life insurance policies, including term insurance, endowment plans, whole life insurance, money-back plans, unit-linked insurance plans (ULIPs), and more. This diverse range of options empowers individuals to select a policy that aligns precisely with their financial objectives and risk tolerance.

Death & Maturity Benefits:

The Life Insurance policies from LIC provide policyholders and their families with a strong foundation of financial security. In the unfortunate event of the policyholder’s demise, LIC ensures that the nominee or beneficiary receives the sum assured or death benefit, safeguarding their financial well-being. 

Moreover, LIC policies often offer maturity benefits, creating an additional avenue for financial stability. If the policyholder survives the policy term, they receive a maturity benefit comprising the sum assured along with any accumulated bonuses or guaranteed additions. This lump sum payout can be utilized to fulfill various financial needs and aspirations.

Riders Options:

LIC empowers policyholders to augment their coverage by incorporating riders or supplementary benefits into their base policy. These riders offer additional protection against critical illnesses, disabilities, accidental death, and other unforeseen circumstances. By customizing their policies with riders, policyholders can tailor their coverage to meet their specific requirements and enhance overall protection.

Simplified Purchasing Process:

By offering multiple channels, including branch visits, SMS information, and simplified online services, LIC aims to make the process of purchasing and applying for life insurance plans as convenient and accessible as possible. This approach caters to the diverse preferences and requirements of individuals seeking LIC insurance coverage.

Special Rates For Women:

LIC has implemented a gender-specific pricing strategy by introducing special rates for women in some of its life insurance policies. These specially tailored rates aim to offer women policyholders more affordable premium options.

The special rates offered to women are based on statistical data highlighting their longer life expectancy and lower mortality risk compared to men. By considering these factors, LIC acknowledges the reduced risk associated with insuring women and extends the benefit of reduced premium rates to eligible policies. This gender-based pricing approach recognizes and reflects the unique characteristics and risk profiles of women when it comes to life insurance.

Reasons To Purchase Tata AIA Life Insurance Policy

Here are the following reasons why one should go for Tata AIA Life Insurance policies:

PAN India Presence:

With more than 400 branches present across the major cities of India, Tata AIA Life Insurance serves customers by providing comprehensive life insurance solutions. This extensive reach allows policyholders to access services, receive assistance, and make inquiries conveniently, irrespective of their geographic location. Tata AIA Life Insurance’s commitment to serving customers across India underscores its dedication to providing high-quality insurance products and customer service on a national scale.

Wide Range Of Life Insurance:

Tata AIA Life Insurance presents a diverse array of products designed to cater to the distinct life stage insurance needs of individuals. Whether you seek straightforward protection through term insurance, aim for wealth creation via investment-linked plans, or desire comprehensive coverage with a whole life policy, Tata AIA Life has a solution for you. With their varied portfolio, one can discover a plan that seamlessly aligns with their financial goals and requirements.

Affordable Premiums:

Tata AIA Life Insurance provides cost-effective protection, ensuring customers enjoy the advantages of a life insurance plan without a significant financial burden. It meets individual requirements while remaining budget-friendly, allowing one to financially secure their loved ones effortlessly.

Guaranteed Returns:

Tata AIA Life Insurance, especially its savings and retirement plans, guarantees returns upon plan maturity. As one consistently pays their premiums, their savings accumulate. At maturity, one has the option to receive the accumulated amount either as a lump sum or as a regular income.

Express Claim Settlement:

Through ‘Express Claims,’ Tata AIA Life ensures that nominees of deceased policyholders receive claim settlements within 4 hours of claim intimation. Additionally, the ‘Easy Claim Initiative’ streamlines the claim filing process by sending a Rakshakarta agent to the doorstep for a hassle-free experience.

Rider Options:

Tata AIA Life Insurance policies frequently offer supplementary riders that can be incorporated to augment coverage. These may encompass critical illness riders, accidental death and disability riders, waiver of premium riders, and other options, providing added financial protection against specific risks.

Customization Options:

The Life Insurance policies from Tata AIA Life offer customization to align with individual requirements. Policyholders have the flexibility to select the sum assured, policy term, premium payment frequency, and other features tailored to their specific needs and financial capacity. Furthermore, several policies present opportunities for partial withdrawals, top-up premiums, and policy revival, enhancing the overall flexibility and suitability of the plans.

Bonus & Investment Opportunities:

Some Tata AIA Life Insurance policies share in the company’s profits, providing bonuses or guaranteed additions that can augment the policy’s maturity or death benefit. Furthermore, Tata AIA Life ULIPs (Unit Linked Insurance Plans) offer investment opportunities, enabling policyholders to potentially grow their wealth through market-linked funds.

Life Insurance Corporation Of India Insurance OR Tata AIA Life Insurance: What To Choose?

Both LIC and Tata AIA Life are reputable and offer a range of top-notch life insurance products. However, determining whether Tata AIA Life Insurance or LIC policies are better depends on various factors, including your specific needs, preferences, and financial goals. 

LIC has established a robust reputation for trustworthiness and reliability spanning decades. Being a government-owned entity, it is widely regarded as a reliable insurer, boasting an extensive network of branches throughout the country, ensuring convenient accessibility for policyholders. Apart from its strong presence, the company also stands apart by offering discounts for women, bonuses, and more. 

When considering Tata AIA life insurance, the company offers innovative features and benefits, affordable premiums, various bonuses, and investment opportunities. Moreover, the company claims to settle life insurance claims within 4 hours of claim intimation. 

It’s important to note that while both LIC and Tata AIA Life have several advantages, individual preferences and circumstances vary. When choosing a life insurance policy, it’s crucial to consider factors such as your financial goals, risk tolerance, and the specific features of the policy. Before making a decision, carefully read the policy terms and conditions, compare offerings from different insurers, and consider consulting with a financial advisor to ensure that the chosen policy aligns with your individual needs and circumstances.

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